Federal prosecutor Eduardo Taiano ramps up his action to block $110 million of funds involved in the Libra memecoin scandal after its rise to fame through Argentine President Javier Milei”s endorsement.

Argentineans now question President Milei”s involvement with Libra memecoin because of this scandal that changed Argentina”s political scene.

In its legal pursuit Taiano has made a formal request to block all current funds connected to Libra based on ongoing criminal investigations. The prosecutor demands Twitter post history including Milei”s approval of Libra plus phone records and administration building visit records.

Libra’s Value Collapses After Rapid Rise

Milei started promoting Libra through his X account in mid-February by saying that the project could help small businesses recover from economic suffering while supporting Argentina”s economy. When Milei supported Libra it made the digital asset boost its market worth and reach $2 billion in the briefest span of time.

After a rapid surge Libra”s value collapsed by almost 90% and hurt investors heavily before suspicions about fraud emerged. DexScreener data shows that at present Libra has an estimated market capitalization of $100 million.

Following the Libra incident President Milei cut ties with the project and withdrew his initial post to promote it but opposition leaders now demand his removal from office as a result. According to his supporters Milei unintentionally backed Libra on X but this does not mean he actively set up the marketing strategy.

The main figure in this developing scandal is Hayden Davis who leads Kelsier Ventures as its CEO. According to Davis who states he advises President Milei he obtained the President”s support for the Libra network. The January X photo of Milei with Davis received numerous comments but ended up removed. This increased people”s interest in their business partnership.

In his interview with Stephen Findeisen also known as Coffeezilla, Davis confessed that he controlled most of Libra”s funds from the project collapse. He confirms to Stephen Findeisen that himself holds 113 million dollars which includes $100 million from initial stablecoin launch funds plus $13 million in LP revenue.